Suggestions




·

Linkage Assurance Records N6bn Revenue, Tax Burden Affects Profit Growth

May 29, 2025
by
Linkage Assurance's Revenue Rises To N19.29bn, Profit Drops By 23%

Linkage Assurance reported 18 per cent growth in its insurance revenue for the first quarter (Q1) of 2025, after recording N6.05 billion, against the N5.12 billion posted in the corresponding period in 2024.

The company, in its first quarter financial statement for the period ended March 31, 2025, announced that Insurance service expenses declined by 5 per cent year-on-year from N4.08 billion to N3.86 billion.

Join our WhatsApp Channel

However, Linkage Assurance saw its insurance service result before reinsurance contracts held grow by 111 per cent, up from N1.04 billion in the first quarter last year to N2.19 billion in the same period this year.

Also, the insurer recorded N1.89 billion in net expense from reinsurance contracts held in Q1 2025, compared to the N1.72 billion recorded in Q1 2024 – indicating an increase of 10 percent.

Furthermore, insurance service result grew by 143 per cent year-on-year, rising from N683.33 million to N292.71 million, while total investment income decreased by 42 percent from N2.86 billion to N1.67 billion.

For insurance finance expenses on insurance contracts issued, Linkage Assurance reported it declined to N67.27 million during the reviewed period, against the N515.84 million filed in the first quarter last year.

Similarly, the company’s reinsurance finance income for reinsurance contracts held fell by 86 per cent year-on-year, from N203.60 million to N29.14 million, resulting in a net insurance finance expense of N38.12 million in Q1 2025, compared to N312.23 million in Q1 2024.

Nevertheless, Linkage Assurance posted N1.93 billion as net insurance and investment result – which increased slightly by 3.22 per cent year-on-year from N1.87 billion – but this was reduced by other operating expenses of N1.10 billion in Q1 2025, which is similar to the N1.10 billion reported in the same period last year.

As a result, the insurer recorded a profit before tax of N829.59 million in the first quarter this year, compared to the N769.37 million posted in the corresponding period in 2024, reflecting an increase of 8 per cent.

However, Linkage Assurance’s net income was burdened by a 151 per cent increase in income tax, which was N96.65 million in Q1 2025, up from N38.46 million in Q1 2024.

This led to the insurance company recording just a 0.27 per cent increase in profit after tax (PAT), which rose from N730.90 million in Q1 2024 to N732.94 million in Q1 this year.

For press releases, tip-offs, and corporate information, call 08149575257 (hotline)
Email: publisher@primebusiness.africa and editor@primebusiness.africa

+ posts

Prime Business Africa

Related Posts

How To Make Delicious Bitter Leaf Soup
Previous Story

How To Make Delicious Bitter Leaf Soup

Nigeria’s Oil & Gas Sector Records $8bn New Investments In Two Years – Tinubu
Next Story

Nigeria’s Oil & Gas Sector Records $8bn New Investments In Two Years – Tinubu

Featured Stories

Related Posts

Latest from Business

Tinubu Constitutes Taskforce to Revamp Petroleum Industry

President Bola Tinubu has inaugurated a Presidential Petroleum Reform and Value Optimisation Taskforce to plan the next stage of reforms in Nigeria’s petroleum sector. Mr Fola Adeola, co-founder of Guaranty Trust Bank and founder of the Fate Foundation, was appointed chairman of

Investigation Reveals 23 Damaged Components on Arik Air Flight

Nigeria’s air accident investigators said a passenger aircraft operated by Arik Air suffered damage to at least 23 components after an abnormal engine incident during a flight in February. In a preliminary report released on Friday, the Nigerian Safety Investigation Bureau said
Why CBN Retained Bencmark Interest Rate At 27.5%

CBN Directs Banks to Deny Debtors New Loans

Central Bank of Nigeria has directed commercial banks to deny additional credit and certain banking services to large borrowers with non-performing loans, in a move aimed at strengthening credit discipline and reducing financial risks in the banking system. In a letter dated March 12,
Bulls Charge Ahead As NGX Shatters Records As Market Cap Surpasses N50trn

RT Briscoe Tops NGX Losers’ List, Guinness Among Gainers

The market capitalisation of the Nigerian Exchange (NGX) was N127.36 trillion on Friday, March 13, while the all-share index (ASI) closed at 198,407.3 ASI. Equity investors traded 591.04 million shares in 53,066 deals, valued at N35 billion on Friday.Join our WhatsApp Channel
How To Make Delicious Bitter Leaf Soup
Previous Story

How To Make Delicious Bitter Leaf Soup

Nigeria’s Oil & Gas Sector Records $8bn New Investments In Two Years – Tinubu
Next Story

Nigeria’s Oil & Gas Sector Records $8bn New Investments In Two Years – Tinubu

Don't Miss

Ekiti Assembly Speaker, Afuye Dies At 66

Ekiti Assembly Speaker Afuye Dies At 66

Speaker of the Ekiti State House of Assembly, Funminiyi Afuye
FUTMinna Honours JAC Chair urges FG to revise EA sharing formular

FUTMinna JAC Chair Urges FG To Reverse Earned Allowance Sharing Formula

FOLLOWING the release of N22.127 billion approved as payment of